Topic`1 Tax2

According to the Malaysian Partnership Act 1961, a partnership is defined as a relationship that subsists between persons carrying on business in common with a view of profit. How many types of partners are typically found in a partnership?

• 3

• 4

• 6

• 5

What is the main purpose of preparing Form P in a partnership tax filing?

• To declare the total income of the partnership

• To provide information about the partners' salaries

• To report foreign income received in Malaysia

• To disclose changes in the partnership constitution

In a partnership, how are capital allowances typically allocated among the partners?

• Only to the managing partner

• In proportion to the initial capital contribution

• Equally among all partners

• Based on the profit-sharing ratio of each partner

What is the main reason for calculating the provisional adjusted income in a partnership?

• To assess the tax liability of the partnership

• To determine the total income of the partnership

• To allocate capital allowances to partners

• To calculate the divisible income of each partner

When a new partner is admitted to a partnership, how does it impact the calculation of total income for each partner?

• It increases the total income for all partners

• It decreases the total income for existing partners

• It has no impact on the total income of existing partners

• It depends on the profit-sharing ratio of the new partner

What is the significance of the profit-sharing ratio in a partnership agreement?

• It determines the amount of capital contribution required from each partner

• It affects the allocation of capital allowances among partners

• It determines how profits and losses are distributed among partners

• It is used to calculate the total income of the partnership

In a partnership, how are private expenses of partners typically treated for tax purposes?

• Deducted from the partnership's total income

• Included in the divisible income of each partner

• Not allowed as deductions for tax purposes

• Shared equally among all partners

What is the main purpose of preparing Form P in a partnership tax filing?

• To provide information about the partners' salaries

• To disclose changes in the partnership constitution

• To report foreign income received in Malaysia

• To declare the total income of the partnership

In a partnership, how are capital allowances typically allocated among the partners?

• In proportion to the initial capital contribution

• Only to the managing partner

• Based on the profit-sharing ratio of each partner

• Equally among all partners

What is the main reason for calculating the provisional adjusted income in a partnership?

• To assess the tax liability of the partnership

• To allocate capital allowances to partners

• To determine the total income of the partnership

• To calculate the divisible income of each partner